Question: Prior to being united in a business combination Atkins Inc

Prior to being united in a business combination, Atkins, Inc., and Waterson Corporation had the following stockholders’ equity figures:

Atkins issues 51,000 new shares of its common stock valued at $3 per share for all of the outstanding stock of Waterson. Assume that Atkins acquires Waterson. Immediately afterward, what are consolidated Additional Paid-In Capital and Retained Earnings, respectively?
a. $104,000 and $300,000.
b. $110,000 and $410,000.
c. $192,000 and $300,000.
d. $212,000 and$410,000.

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  • CreatedOctober 04, 2014
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